Today marks a cherished milestone in Indonesia’s history, a day which Indonesians worldwide proudly and with renewed determination commemorate our nation’s birth on August 17th every year. On the auspicious occasion of the 77th anniversary of the Independence of the Republic of Indonesia, it is my greatest pleasure and honour to extend my warmest greetings to the people of Hong Kong and heartfelt wishes to my fellow Indonesians residing in Hong Kong.
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A Solid Tie of Indonesia and Hong Kong
Indonesia and Hong Kong have built strong and cordial relations that we view as of great importance. Entering the 72 years of Indonesia and China diplomatic relations, I am proud to say that the two countries together with Hong Kong, have always enjoyed excellent relations throughout history and across governments. These solid and extensive ties have been based on deeply rooted friendship as well as firm people-to-people bonds. Every day, I am surrounded by the atmosphere of friendship between Indonesia and Hong Kong, touched by the stories of friendship between our two peoples, and inspired by the mission of building our ever-lasting friendship.
Hong Kong nowadays is home to not less than 155,000 Indonesian migrant workers living in the city. It is mutually understood that their protection is a shared responsibility between Indonesia and Hong Kong. Recognizing their contribution to families and the city’s economy, we would also like to further promote better protection for our Indonesian workers. I hereby thank the Government of Hong Kong for their relentless efforts to collaborate as we look forward for stronger labour protections to further guarantee the workers’ rights in the city. In the future, we hope to see stronger improvements in various aspects that will allow them to integrate into the community with pride, so that they can live and work in a safe and welcoming environment.
When it comes to cultural and people-to-people relations, mutual understanding must be maintained and enhanced. In education sector, it has always been our pleasure to support the Belt and Road Scholarship program provided to Indonesian students every year in order to take bachelor’s degree in the top-ranking Universities in Hong Kong. Since 2017, there have been 70 Indonesian students benefitted from the scholarship. Indonesian Government also provides scholarship for Hong Kong students, namely The Indonesian Arts and Culture Scholarship (Beasiswa Seni dan Budaya Indonesia/BSBI) as well as Darmasiswa, where they can learn Indonesian language, arts, and culture. I am convinced that these programs will facilitate further fruitful cultural exchanges and continually intensify the friendly bilateral relationship between us all.
G20 Presidency 2022
Indonesia assumed the G20 Presidency this year, encouraging all countries to work together to achieve a stronger and more sustainable recovery from the pandemic’s impacts. On 31 October 2021, Italian Prime Minister Mario Draghi pass on the baton of the G20 Presidency to the President of Indonesia Joko Widodo during the G20 Summit in Rome Italy. This is the first time Indonesia holds the G20 Presidency, a cooperation forum among the 20 largest economies.
Indonesia’s G20 Presidency carries the spirit of "Recover Together, Recover Stronger” the theme reflects the global crisis which transforms and moulds our future economy. Indonesia believes the global pandemic requires joint and inclusive efforts in finding a way out or solutions for recovery. For its Presidency, Indonesia focuses on three priority sectors as the key to a strong and sustainable recovery, which are: Global Health Architecture, Sustainable Energy Transition, and Digital Transformation.
President Joko Widodo emphasized that inclusiveness is the priority of Indonesia's leadership in the G20, to "leave no one behind." G20 should benefit not only the G20 members but also the developing countries, Small Island Developing States, and vulnerable groups. As such, Indonesia gives major attention to developing countries in Asia, Africa, and South America, including the small island nations in the Pacific and Caribbean. In addition to reflecting the spirit of inclusiveness, this also provides a wider representation of the G20.
The upcoming G20 Summit will take place in Bali between 15-16 November, 2022, becoming the pinnacle of the G20 process and intense work carried out within the Ministerial Meetings, Working Groups, and Engagement Groups throughout the year.
A Robust Economic Partnership
On the economic and trade front, the areas of cooperation between our two countries have continued to expand. Indonesia – Hong Kong long established close economic relationship continues on a positive trajectory, in 2021 Hong Kong contribute 14,8% of total foreign direct investment in Indonesia valued at US$4,6 billion, this put Hong Kong in the 2nd place of Indonesia’s FDI source. While trade in goods between the two regions has reached over US$5 billion last year. We are confident that Hong Kong will remain our top foreign investor and trading partner for Indonesia in a foreseeable future.
The partnership will continue to deepen and strengthen through the Hong Kong-ASEAN Free Trade Agreement and the related Investment Agreement and Regional Comprehensive Economic Partnership (RCEP) which took full effect last year. Hong Kong will continue to serve as a prime platform and key link for Indonesia, to expand its economic footprints and connections with other parts of the world and vice versa. With this background, Indonesia and Hong Kong certainly can build a strong optimism that this is a perfect momentum for our economic recovery.
For Indonesia, Hong Kong has a competitive advantage that cannot be replaced or replicated by other cities, with "One Country, Two Systems" framework and principle, has given Hong Kong an unparalleled advantage, one for being part of China, while maintaining its unique strengths in economic freedom. The system has proven to ensure the prosperity and stability of Hong Kong.
Celebrating the Moment
I would like to take this opportunity to express my appreciation once again to the Hong Kong government and people for their longstanding friendship and support. I hereby confidently state that our long-standing bilateral relations are on the right track. Meanwhile, we will not spare any effort to enhance those relations and carry them out to wider horizons for the benefits of our peoples.
To my fellow Indonesians in Hong Kong, I hope you will enjoy a wonderful Independence Day and share the joyful spirits and traditions with your close ones as well as our Hong Kong hosts. For the people of Hong Kong, may our bilateral relations continuously flourish and be mutually beneficial for both parties in the years to come.
INDONESIA’S POST-PANDEMIC PROSPECTS: OPPORTUNITIES WIDE OPEN
After dealing with 2 years of a major outbreak of various variants of coronavirus, Indonesia saw the situation has been improving tremendously in recent months due to the government responding swiftly with a containment strategy. Indonesia is currently in the stage of studying and preparing for the transition of the Covid-19 pandemic into an endemic. This move is carefully calculated with several factors taking into account, among others are; the national vaccination rate, the number of active cases, positivity rate among the community, hospital/quarantine centres occupancy rate, and death rate in the community from contracting the virus.
Indonesia’s transition phase from pandemic into endemic translates into; lifting the mandatory facemasks in public places, removing social mobility restrictions that have been in place for 2 years, and allowing people to travel freely, travellers are no longer needed to show mandatory Covid-19 test results, removing quarantine mandatory for international flight passengers.
Indonesia is now open for travellers to enjoy some of the best world tourist destinations. With its culturally exotic and yet mystifyingly beautiful islands geography, these are places which would surely cater to the curious travellers’ appetite of distinct cultures and diverse interests, ranging from scuba diving in the world renowned Bunaken, Bali known as the Island of Gods, exploring the native habitat of legendary Komodo dragons, to visiting the ancient temple of Borobudur, a Buddhist temple named as one of the Wonders of the World.
The transition to an endemic phase would also allow travellers especially business community to plan and resume their businesses in Indonesia. However, while the plans are still unfolding, we need to be agile and adaptive and move into the new normal safely.
New Opportunities Post Pandemic
Based on the World Bank’s Global Economic Prospect (GEP) last June titled “Stagflation Risk Rises Amid Sharp Slowdown in Growth” Indonesia is projected to be one of the most resilient countries in facing the current global economic downturn. The World Bank predicts Indonesia's economic growth will be at 5.1 percent for 2022, in contrast with the slowdown of global economic growth at 2.9 percent. The success of Indonesia’s Government to maintain positive economic growth during the COVID-19 pandemic, improving regulations on investment and successful pandemic control have boosted the confidence of businesses and foreign investors in Indonesia’s future economy.
The global pandemic, in many respects, has been a catalyst in accelerating changes in many parts of our lives, these changes however also brought opportunities. The digital economy continues to present ample opportunities for business collaborations, especially in e-commerce, web-portal construction, and telecommunication infrastructure. Indonesia looks forward to working with businesses from Hong Kong for their advanced technological products and services.
Infrastructure development is still on the top agenda of President Joko Widodo’s administration, with the growing infrastructure deficit, investment in infrastructure will persist in years to come, especially with the establishment of the new capital Nusantara in Kalimantan Island. The new capital Nusantara project will open up a broad-range potential for medium and long-term investment for many businesses and industries. As constructing the new capital will require building an intensive and innovative smart city with solutions to urban challenges.
Infrastructures, constructions, and government buildings will have to meet with the latest enabling technologies which are critical to supporting the evolution of the smart city. The new capital is also looking for significant investment in renewable energy as well as state of the art of water and waste management.
With Hong Kong’s reputation as a world-class smart city and your experience in innovation and technology to build a world-famed Smart Hong Kong, we welcome you to offer your expertise and know-how in Indonesia.
Trade Expo Indonesia 2022
Indonesia's export performance in 2021 which was recorded at its highest value in history is the momentum to continue maintaining and increasing the value of Indonesia's exports in the coming years. To support this effort, the annual event of Trade Expo Indonesia (TEI) returns in 2022 with a hybrid concept where the biggest trade show in Indonesia will be conducted as both offline and online. TEI will be held on 19-23 October 2022 at the Indonesia Convention Exhibition (ICE) BSD City, Tangerang, Indonesia and its online event within 19 October – 19 December 2022.
TEI focuses its activity on B2B trade while also promote tourism and investment exhibition for Indonesian export-oriented products and services. TEI will display various high-quality export products from Indonesia where the products are categorized into 7 zones and more than 50 sub-zones. The event serves as a one-stop platform to connect the global market with high-quality, innovative export products from Indonesia. Apart from exhibition and trade activities, TEI 2022 also offers the opportunity for buyers to expand business and investment networks in Indonesia through trade forums, international seminars, and business matchings. This year, TEI is expected to further strengthen connection between Indonesia and the world through trade for a stronger recovery. With this event, I invite business community in Hong Kong to start planning and resuming your business trip to Indonesia.
With improved regulations for doing business, a resilient economy with stable credit ratings, a young demographic with 71% or 190 million working age population, a significant middle-class market size, and part of the G20, it is a wise choice to make Indonesia your main destination for your investment. As we look ahead to post-COVID19 era, there are immense opportunities for the expansion of Indonesia-Hong Kong partnership.
